Lamb Weston Holdings Inc (LW)
Pretax margin
| May 26, 2024 | Feb 25, 2024 | Nov 26, 2023 | Aug 27, 2023 | May 28, 2023 | Feb 26, 2023 | Nov 27, 2022 | Aug 28, 2022 | May 29, 2022 | Feb 27, 2022 | Nov 28, 2021 | Aug 29, 2021 | May 30, 2021 | Feb 28, 2021 | Nov 29, 2020 | Aug 30, 2020 | May 31, 2020 | Feb 23, 2020 | Nov 24, 2019 | Aug 25, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before tax but after interest (EBT) (ttm) | US$ in thousands | 955,500 | 1,345,900 | 1,373,900 | 1,232,600 | 1,233,500 | 717,100 | 637,600 | 539,800 | 272,700 | 298,100 | 242,800 | 329,500 | 408,300 | 324,100 | 388,800 | 443,100 | 478,200 | 618,700 | 652,600 | 622,500 |
| Revenue (ttm) | US$ in thousands | 6,461,800 | 6,542,600 | 6,346,900 | 5,882,100 | 5,349,800 | 4,805,400 | 4,506,800 | 4,183,600 | 4,042,200 | 3,898,300 | 3,839,100 | 3,781,900 | 3,669,200 | 3,510,300 | 3,552,500 | 3,675,400 | 3,792,700 | 3,949,200 | 3,938,000 | 3,830,400 |
| Pretax margin | 14.79% | 20.57% | 21.65% | 20.96% | 23.06% | 14.92% | 14.15% | 12.90% | 6.75% | 7.65% | 6.32% | 8.71% | 11.13% | 9.23% | 10.94% | 12.06% | 12.61% | 15.67% | 16.57% | 16.25% |
May 26, 2024 calculation
Pretax margin = EBT (ttm) ÷ Revenue (ttm)
= $955,500K ÷ $6,461,800K
= 14.79%
Pretax margin is a key financial ratio that indicates a company's efficiency in generating profits before accounting for taxes. It is calculated as pretax income divided by total revenue, expressed as a percentage.
Analyzing the pretax margin of Lamb Weston Holdings Inc over the past few quarters, we observe fluctuations in the company's profitability performance. The pretax margin has ranged from as low as 6.32% to as high as 23.06%, showcasing variability in the company's ability to generate profits relative to its revenue.
In the latest period, the pretax margin stood at 14.79%, indicating that for every dollar of revenue generated, the company retained approximately 14.79 cents as profit before tax. Compared to the previous quarters, the current pretax margin of 14.79% is on the lower side, reflecting potential challenges or changes in the company's cost structure or revenue dynamics.
It is crucial for investors and stakeholders to closely monitor the pretax margin trend of Lamb Weston Holdings Inc to assess the company's operational efficiency and profitability. Fluctuations in the pretax margin can provide insights into the company's performance and potential areas of improvement in managing costs and enhancing revenue generation strategies.
Peer comparison
May 26, 2024